Rivian Targets $250 Million Uber Tranche After Reaching Autonomous Driving Milestone
Key Facts
Rivian CEO RJ Scaringe said on October 29 that the company is "very confident" it will reach an autonomous driving milestone this year, which would open the way for a $250 million investment tranche from Uber. The funding is part of a broader potential investment by Uber, but remains contingent on achieving autonomous driving milestones. Scaringe said the timing of the achievement "is fully in line with the company’s internal plan." He did not specify the criteria tied to each funding tranche. That puts execution of Rivian’s technical timeline at the heart of the partnership’s terms, as well as making it important to support the company’s resources.
Uber’s potential investment in Rivian could total $1.25 billion through 2031, including an initial $300 million, according to Reuters. Later investments remain tied to achieving autonomous driving milestones, while Rivian has not disclosed the criteria required for each tranche. The arrangement gives Uber the opportunity to increase its investment as the technology advances, while making additional funding contingent on specific operational achievements. Scaringe confirmed that this year’s milestone timing is in line with the internal plan. That means the company’s confidence in the timeline is not an announcement that the tranche is due or will be disbursed.
The partnership aims to launch R2 robotaxis on Uber’s network in 2028, with operations beginning in about two cities. The plan calls for expansion to around 25 cities within about 18 months of launch. Uber or its fleet partners are also expected to purchase 10,000 autonomous R2 vehicles in the initial phase. The agreement includes an option to negotiate the purchase of up to 40,000 additional vehicles starting in 2030. These targets link Rivian’s conditional funding to a plan to deploy a commercial fleet through Uber’s network, with expansion remaining tied to the announced timeline.
Rivian reported deliveries of 19,248 vehicles in the third quarter of 2026, and the company said the R2 model accounted for much of the quarterly increase. The R2 was already Rivian’s best-selling vehicle in the quarter, ahead of the R1 models and the electric delivery van. Consolidated revenue was $2.155 billion, up 38% from the same period a year earlier. The company attributed revenue growth to higher deliveries, which rose 46% year over year, and $81 million in regulatory credit revenue. It also cited strong performance in its software and services segment, as converting the R2 into robotaxis requires a further expansion of the partnership.
Net loss attributable to common shareholders was $913 million in the third quarter, compared with a loss of $1.173 billion in the same period of 2025. The company ended the quarter with total liquidity of $6.095 billion, including availability under an existing asset-based revolving credit facility. After adding a $1.000 billion loan received from Volkswagen Group in October, available liquidity rose to $7.095 billion. Uber’s potential funding is an additional conditional source amid continuing losses, while current liquidity and the Volkswagen loan provide disclosed resources for the company. Rivian did not directly link those figures to the vesting of the specific Uber tranche.
Rivian raised the low end of its 2026 annual delivery forecast to 67,000 vehicles from 65,000, while keeping the high end at 70,000 vehicles. The company said the range adjustment reflects its production and delivery expectations for the fourth quarter. After the third-quarter results were announced, Rivian shares rose 6.03% in after-hours trading to $12.14, after closing the regular session at $11.45 on October 29. The forecast update combines a higher delivery floor with improved revenue performance, while the company remains loss-making and the Uber tranche is tied to a future technical achievement. The next specified date in the partnership remains the launch of autonomous R2 vehicles on Uber’s network in 2028.